Comments on: Guest Post: Is America Ready For Truth And Reconciliation?

By: Anup M Kochhar

Anup M Kochhar — Sun, 12 Oct 2008 07:34:30 +0000

India will survive .
Infact it is not just rehtoric or suddenbout of philanthrophism that the world is courting India. The Nuke Deal, The G-7 entry ( a very strong possibility in the near future),Pressure on Indian neighbours to buzz off all point towards one thing. The world is taking India seriously and believe me will support India and do anything to stop it from collapsing .For through India ( and perhaps China too ) passes their life line.And their greatest hope.

Ps : Please think beyond the stock markets. The economy is much larger than it.
Regards
Anup M Kochhar

By: Cool Head

Cool Head — Sun, 12 Oct 2008 06:41:31 +0000

Ha! Why not start writing the next article on “Is India ready for truth and reconciliation”, it will be required very much for those who were looking at the ever rising stock market, real estate, retail and finance, banking, IT sectors especially?

By: shankar_chennai

shankar_chennai — Fri, 03 Oct 2008 16:35:54 +0000

My complements on an excellent article! All consequences visualised by the author are most probably. We would be looking at a different world when the dollar loses the hegemony of being the reserve currency of the world. Going back in history, Great Britain financed its expeditions across the world and ensured that its citizens enjoyed a higher standard of life was due to the hegemony of the pound sterling. Thankfully, I can visualise one positive fallout of the degradation of the dollar. An average American consumes a much larger proportion of the resources of the world than his share in the global population. By devaluing the dollar if the US consumer is made to pay more and as a consequence consume less, that would be beneficial to the balance of the world. Also the dumping of dollars or dollar securities has not started as Asia is still watching as to how the US Fed will finance the pay out (which will be substantially more than the $700 Billion mark). If USA wants to borrow, the asking rate for the trust deficit will be high, US national wealth will continue to flow out (National debt of US being close to 90% of GDP. To service a debt of such nature the growth should atleast be 1.1 times the interest rate). If the US decides to monetise the deficit, that would herald the end of the dollar. Overall, we are in for interesting times (minus the pain).

By: Assorted Links « Mostly Economics

Assorted Links « Mostly Economics — Tue, 30 Sep 2008 04:57:40 +0000

[...] IEB has a superb post on all the ongoing [...]

By: rahul

rahul — Mon, 29 Sep 2008 19:28:10 +0000

You Said “Once Congress approves this bill, investors, instead of feeling chastened, might feel that they have survived a bad crisis and that could embolden them to take on more risks unless regulators begin to take their jobs seriously. That is why I feel that stock markets, in the next few months, would do well.”
now that the bill has been rejected, what happens now???

By: Anu

Anu — Mon, 29 Sep 2008 07:00:43 +0000

Hello Dr. Anantha Nageswaran,

This a very well written post. For one, I do hope that this was a timely check for Indian financial institutions – a sort of a Investment 101 to prevent a demise like this in India.

I agree with your point that this entire crisis has deeply affected the trust factor of the US institutions.